NIO Stock – Why NIO Stock Dropped Thursday
What happened Many stocks in the electric vehicle (EV) sector are actually sinking today, and Chinese EV producer NIO (NYSE: NIO) is no exception. With its fourth-quarter and full-year 2020 earnings looming, shares fallen almost as 10 % Thursday and remain lower 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV developer Li Auto (NASDAQ: LI) claimed its fourth-quarter earnings nowadays, though the results shouldn’t be scaring investors in the sector. Li Auto reported a surprise profit for the fourth quarter of its, which can bode very well for what NIO has to point out if this reports on Monday, March 1.
however, investors are knocking back stocks of those top fliers today after lengthy runs brought huge valuations.
Li Auto reported a surprise optimistic net earnings of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the businesses offer somewhat different products. Li’s One SUV was developed to deliver a specific niche in China. It contains a little fuel engine onboard that can be harnessed to recharge its batteries, allowing for longer travel between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 vehicles in January 2021 plus 17,353 throughout its fourth quarter. These represented 352 % as well as 111 % year-over-year benefits, respectively. NIO Stock not too long ago announced its first deluxe sedan, the ET7, that will also have a new longer range battery option.
Including today’s drop, shares have, according to FintechZoom, already fallen more than 20 % from highs earlier this season. NIO’s earnings on Monday could help ease investor nervousness over the stock’s of good valuation. But for today, a correction stays under way.
NIO Stock – Why NYSE: NIO Felled